Answer:
During the recession of 2008 through 2010, Ford saw sales of its vehicles drop and was forced to reduce production. This decision reflected changes in the company's ECONOMIC environment.
Explanation:
The automotive industry crises occurred from 2008 to 2010, it was basically a part of the financial crisis that started in 2007. It also effected most of the Europe, but the results in America were far worst than any other part of the world. The main reason behind it was the rise in the fuel prices for these vehicles. As Ford didn't offer much fuel efficient models for costumers, their sales started to decline, which resulted in the reduction of production, and changed the companies economic environment.
<span>b. debit interest receivable for $500 and credit interest revenue for $500
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Answer:
The correct answer is letter "D": in absorption costing, fixed manufacturing overhead is a product cost.
Explanation:
Absorption costing or full costing includes all costs related to the production process like the fixed costs. Variable costing, on the other hand, only includes the variable costs from the production. Absorption costing incorporates allocating fixed overhead costs of each unit produced during a certain period.
Answer:
The rate that will give the same effective annual rate of return is 0.033%.
Explanation:
a) Data and Calculations:
APR = 12%
Semi-annual compound rate = 6% (12/2)
Assumed calendar days in a year = 360 days
Effective daily rate of return = 12%/360 = 0.033%
b) The conversion of semi-annual compounding to daily compounding results in reduced rate of return. In this case, we assume that there are 360 days in a year. Since the APR = 12%, it means that the daily rate of return will be 12%/360, which is 0.033%.
